Singapore-based Sembcorp Industries announced on Friday (Nov 8) that it would sell its Sembcorp Environment unit to a unit of Indonesian energy company TBS Energi Utama for S$405 million (US$306.6 million).

The deal comes just over a year after the Indonesian company acquired Asia Medical Enviro Services from Dymon Asia Private Equity in August 2023.

Sembcorp said in a statement that TBS Energi Utama will retain management and staff of the waste management company after the transaction is completed to ensure continuity.

The agreement aligns with the company’s 2024-2028 strategic plan aimed at accelerating its growth in renewable energy and driving the energy transition, as announced in November 2023, and the proceeds from the sale will be channeled there, a Sembcorp said in its press release.

The proposed transaction is expected to be completed by the first half of 2025.